Answer to Question #252211 in Economics for lebo

Question

Explain whether the following statements are true or false.                                                         [15]

i.   Economics is the study of how scarce resources are allocated among competing uses.

ii.  Economics is not related to the value systems of a society.

iii. Land economics as a concept is often intersected with environmental economics

iv. A choice from among competing options is said to be economically rational when it yields anticipated net benefits that is lower than the opportunity cost.

v. In Economics, the environment is a composite asset which can easily depreciate if not used with some sense of sustainability..

Answer 1

i. Economics is the study of how scarce resources are allocated among competing uses. It's true.

ii. Economics is not related to the value systems of a society. It's false, because it is related.

iii. Land economics as a concept is often intersected with environmental economics. It's true.

iv. A choice from among competing options is said to be economically rational when it yields anticipated net benefits that is lower than the opportunity cost.

It's false, because it should be higher than the opportunity cost.

v. In Economics, the environment is a composite asset which can easily depreciate if not used with some sense of sustainability. It's true.